Question 227 of 966

MB-920 Practice Question: Describe the core capabilities of the finance and operations apps

This MB-920 practice question tests your understanding of describe the core capabilities of the finance and operations apps. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.

A company uses Dynamics 365 Finance and Operations. They need to configure financial dimensions for reporting. Which TWO statements about financial dimensions are correct?

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Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Financial dimensions can be used to segment financial data for reporting.

Option A is correct because financial dimensions in Dynamics 365 Finance and Operations are specifically designed to segment financial data, such as splitting revenue by region or product line, enabling granular reporting and analysis. This segmentation allows organizations to create detailed financial statements and pivot on dimensions like cost center or department for deeper insights.

Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Financial dimensions can be used to segment financial data for reporting.

    Why this is correct

    Financial dimensions provide segmentation for reporting.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Financial dimensions cannot be used in budget control.

    Why it's wrong here

    Financial dimensions can be used in budget control.

  • Financial dimensions can be linked to entities such as cost centers and departments.

    Why this is correct

    Dimensions can be linked to cost centers, departments, etc.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Financial dimensions are only applicable to the main account.

    Why it's wrong here

    Dimensions are not limited to main accounts.

  • Financial dimensions can only be used in one account structure at a time.

    Why it's wrong here

    Dimensions can be used in multiple account structures.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often assume financial dimensions are static or limited to a single account structure, but Dynamics 365 allows flexible reuse across multiple structures and integration with budget control, which is a key differentiator from simpler accounting systems.

Detailed technical explanation

How to think about this question

Financial dimensions in Dynamics 365 Finance and Operations are stored as separate fields in the ledger transaction table, allowing them to be indexed and queried independently for performance. A real-world scenario involves configuring a dimension like 'Region' to track sales across North America and Europe, where budget control rules can be set per region, and the same dimension can appear in both a profit-and-loss account structure and a balance sheet structure without conflict.

KKey Concepts to Remember

  • Read the scenario before looking for a memorised answer.
  • Find the constraint that changes the correct option.
  • Eliminate answers that are true in general but not in this case.

TExam Day Tips

  • Watch for words such as best, first, most likely and least administrative effort.
  • Review why wrong options are wrong, not only why the correct option is correct.

Key takeaway

Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Real-world example

How this comes up in practice

A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this MB-920 question test?

Describe the core capabilities of the finance and operations apps — This question tests Describe the core capabilities of the finance and operations apps — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: Financial dimensions can be used to segment financial data for reporting. — Option A is correct because financial dimensions in Dynamics 365 Finance and Operations are specifically designed to segment financial data, such as splitting revenue by region or product line, enabling granular reporting and analysis. This segmentation allows organizations to create detailed financial statements and pivot on dimensions like cost center or department for deeper insights.

What should I do if I get this MB-920 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Last reviewed: Jun 24, 2026

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